Deal for £57m apartment block in Manchester agreed by property firm
Manchester-based property and investment company Glenbrook has agreed a joint venture with Barings Real Estate one of the world’s largest real estate investment managers to acquire and develop a site in Cornbrook, Manchester to deliver a £57m 280-unit built to rent scheme.
This deal marks the second BTR scheme acquired by Barings in the UK, following its acquisition of The Keel, on Liverpool’s Waterfront, where Glenbrook will continue to act as development partner.
Once completed, the property in Cornbrook will include 280 apartments, including 93 one-bed, 172 two-bed, and 15 three-bed units, across two 14-storey buildings designed by Sheppard Robson.
The scheme has been designed for the rental market, and will include a resident’s lounge and gardens, together with a gym and yoga studio, all located on the top-floor of the development.
A convenience retail store will be located on the ground floor.
The property is adjacent to Cornbrook Metrolink Station, one of the busiest metro stations in the city, with direct access to Manchester city centre, MediaCityUK, Manchester Airport, and the Etihad Campus.
Contractor Graham Construction commenced works in August, with completion expected for October 2020.
Ian Sherry, director at Glenbrook said: “Glenbrook are pleased to be continuing our development of BTR accommodation in the region having almost 1,000 homes under construction in the North West with a similar number due to start on site next year.
“Barings’ investment requirements for this sector and Glenbrook’s proven ability to identify and execute these transactions was a natural fit and we look forward to developing this partnership further.”
Darren Hutchinson, Barings managing director and head of UK real estate transactions, said: “Cornbrook is an especially attractive opportunity for Barings to continue our relationship with Glenbrook in the thriving centre of Manchester, and represents our second significant current development in the city following on the heels of Landmark, St Peter’s Square.
“Cornbrook is one of two major commitments to the sector this year and reflects a growing appetite for institutional investors to address the structural imbalances created by decades of under-supply in residential housing, declining average household sizes, and a significant increase in the number of people renting.
“Glenbrook’s experience and track record of developing schemes for institutions makes it an increasingly attractive partnership as we look to grow in this region and sector.”
Barings Alternative Investments (BAI), is a 470+ associate team located across 11 countries that manages $49.3bn in client capital.
BAI seeks differentiated sources of returns by incorporating decades of investment experience in alternative assets offering investors access to a diverse range of opportunities across private equity, real assets, asset-based investments and the four quadrants of real estate.
It serves as a trusted partner to clients, leveraging its global presence and robust origination capabilities to identify the most attractive risk-adjusted return opportunities.
As a leading global real estate investor and asset manager, the Barings real estate team offers a broad range of investment opportunities across the public and private debt and equity markets, investing across property sectors with a focus on global relative value and trend-backed preferred strategies.
The investment is on behalf of a North American institutional investor.
